Legal Question in Credit and Debt Law in Maryland

Re: Does a Collection Account stay on Credit Report when sold?

Your message is not clear. However, if you plan on paying the debt owed, after doing so, send proof of the payment to the CRA, preferably by return reciept, and tell them you want the debt removed from your report regardless of which collection agency it is listed under. - Michael C. Worsham, Esq.

Re: Does a Collection Account stay on Credit Report when sold?

If the first collection agency reported the debt as delinquent when they did not

own the debt then this was an improper reporting of adverse credit activity. This

creditor should be notified and a correction sought from their end. You should also

close copy the credit reporting agency on the matter. It is not clear whether you intend to

pay the debt or not as held by another collection agency. If you are intending to satisfy the debt

make sure that you get a copy of the release from all prior creditors/collection agencies where such release was

effected by their factoring or sale of the debt to a subsequent holder. Tell the current holder of the debt

that you are doing this so that they do not report the debt as delinquent while you are in the process of

validating the debt that they claim to hold. Make sure that a payment to the current holder results in a written

release of all claims for this debt. The wording of the release is a particular matter and such a writing should be reviewed for sufficiency by an attorney. If the debt is a sizable one, you should obtain legal assistance.

G. Joseph Holthaus

(410) 799-9002

DISCLAIMER: This response is intended to provide general information about the law and is not legal

advice for a specific matter. Internet correspondnce is not a substitute for compentent legal advice.

Each situtation differs and all factual matters related to your issue cannot be conveyed by way of

a question and answer BBS. Consult an attorney for advice and assistance.